Senate Calls Lights Out For Electric Deregulation

Agreement Reached On Welfare Reform

SPRINGFIELD — At the same moment Friday afternoon when House lawmakers were getting ready to pass a plan that would introduce competition into Illinois' electric industry, Senate lawmakers held a news conference putting it off until fall.

Senate Republicans said the electric deregulation bill, which offered a 15 percent rate cut to residential customers, was just too complicated. The legislators didn't feel confident that the 250-page bill would do what proponents promised and wanted the summer months to review it more carefully.

House lawmakers passed the package 85-12, with many feeling that if the General Assembly doesn't deal with the issue now, it won't do so any time soon. Still, though nothing is certain before adjournment, the Senate's stance appears to kill the issue until at least October.

On another difficult topic, however, lawmakers reached an agreement late in the day. House and Senate negotiators came to terms on a welfare-reform plan and were hoping to bring their consensus proposal before the full chambers as early as Saturday.

The negotiators still have to persuade rank-and-file members to support the plan, which could be a hard sell in some Democratic quarters.

When it came to electric deregulation, even Sen. William Mahar Jr. (R-Orland Park), the sponsor of the bill, said Republicans had too many questions about the technical and financial terms at the heart of the plan.

"We like the direction we're going; we just want to make sure it's right," Mahar said.

Added Senate President James "Pate" Philip (R-Wood Dale): "We don't have to do it until January 1, so why do we have to jump off the cliff right now?"

But Rep. Phil Novak (D-Bradley), co-sponsor of the bill in the House, said his chamber sent "a significant message" to the Senate that the plan was solid.

Industrial and commercial interests lobbied Senate Republicans to oppose the bill, saying it offered them little to no real savings. But Commonwealth Edison Co. President Sam Skinner said he still hopes for passage this spring.

Meanwhile, the welfare-reform plan appeared to be a fairly equal blend of the House, Senate and governor's plans. Gov. Jim Edgar's office has not yet formally approved the plan.

The lawmakers decided the state should provide day care for those making less than half the state's median income. Legislators hope there will be more money in the state budget to pay for that, but Edgar hasn't agreed to a specific budget amount. Other provisions of the plan would:

- Allow the Department of Human Services to cut benefits on its own authority in the middle of a budget year, but only if necessary because of an increase in caseload.

- Grant the state flexibility to help legal immigrants, who will no longer be eligible for federal aid. The department could write rules for providing prenatal care and emergency medical assistance to immigrants, for example.

- Protect worker's compensation and minimum wage for people in welfare-to-work programs.